The European Central Bank (ECB) President Mario Draghi wrote in the foreword to the central bank's annual report that 2016 would a challenging year for the central bank.

"We face uncertainty about the outlook for the global economy. We face continued disinflationary forces. And we face questions about the direction of Europe and its resilience to new shocks. In that environment, our commitment to our mandate will continue to be an anchor of confidence for the people of Europe," he wrote.

Draghi noted that the ECB was ready to act to boost inflation in the Eurozone.

"Even when faced with global disinflationary forces, the ECB does not surrender to excessively low inflation," the ECB president said.